Suspect Company issued $$600,000$ of $9$ percent first mortgage bonds on January $1,201,$ at $103.$ The bonds mature in $20$ years and

pay interest semiannually on January $1$ and July $1.$ Prime Corporation purchased $$400,000$ of Suspect's bonds from the original

purchaser on December $31,205,$ for $$397,000.$ Prime owns $60$ percent of Suspect's voting common stock.

Note: Assume using straight$-$line amortization of bond discount or premium.

Required:

a$.$ Prepare the worksheet consolidation entry or entries needed to remove the effects of the intercorporate bond ownership in

preparing consolidated financial statements for $205.$

b$.$ Prepare the worksheet consolidation entry or entries needed to remove the effects of the intercorporate bond ownership in

preparing consolidated financial statements for $206.$